Answer:
$63,750 and $80,500, respectively.
Explanation:
Operating income : 255,000 x 0.25 = 63,750
Discontinued: 67,000 x 0.25 = 16,750
The Operation Income will be disclosure the pre-tax incoem tax expense adn after-tax result
While, the discontinued operation will be disclosure after-tax therefore it will not be stated in the income statement their amount of income tax
However, the company will have to pay those taxes the total income tax will be the sum of both.
Grammar,Spelling and punctuation.Correct grammar, punctuation and spelling are key in written communications. The reader will form an opinion of you, the author, based on both the content and presentation, and errors are likely to lead them to form a negative impression.
Yes. Roberey can include fake money.
Answer:
1. Situation is that a Stockholder has filed a lawsuit against C corporation.
Accounting treatment: Neither record nor disclose any liability.
Since the liability is not at all possible, it should be neither recorded nor disclosed.
2. Situation: F signed a 60 days, 10% note when it purchased items from another company.
Account treatment: Record the liability on the balance sheet.
Real liability that is both certain and the liability amount can also be reasonably estimated. It should be recorded on the balance sheet.
3. The EPA notifies S co that a state where it has a plant is filing a lawsuit.
Account treatment: Disclose the liability in a financial statement footnote.
The liability is probable but not certain and liability amount can also be reasonably estimated. It should be disclosed in financial statement footnote.
4. Situation: Company manufactured and sold products to a retailer that later sold product to consumer.
Account treatment: Record the liability on the balance sheet.
Real liability that is both certain and the liability amount can also be reasonably estimated. It should be recorded on the balance sheet.
Answer:
A. $27,200
Explanation:
The computation of the cash and cash equivalents reported is shown below:
= Cash in checking account + Petty cash + Commercial paper
= $20,000 + $200 + $7,000
= $27,200
We only added these three items which are shown above as they include cash related items
All other information which is given is not relevant. Hence, ignored it
